1. ¹Warwick Business School, University of Warwick, Coventry, CV4 7AL, UK, Tel: +44 (0) 2476 528202, Email: Zoe.Radnor@wbs.ac.uk
2. ²Finance Manager for Mid Yorkshire Hospitals NHS Trust

Revised 8 May 2003.

Abstract

This paper will define and describe Performance Measurement/Management Systems (PMSs), in the wider context and particularly for the Health Sector, before focusing on one specific tool — the 'Balanced Scorecard'. Even though the Balanced Scorecard (BSC) has become a highly popular performance management tool, usage in local public sector National Health Service (NHS) organisations is still rare. This paper will illustrate through analysis of government and National Health Service (NHS) documents that there has been a continuing emphasis on Performance Measurement within the health sector, since 1997. In light of this, the paper will present a definition of 'performance measurement', the possible types and an overview of the Balanced Scorecard before focusing on the progress made by one organisation, a Primary Care Trust (PCT) who chose to implement the BSC ahead of its peer organisations within the Bradford Health Action Zone (HAZ).